33:140:320 Lecture Notes - Lecture 14: Rescission, Executory Contract, Anticipatory Repudiation
Document Summary
In contract law, discharge occurs when the parties have fully performed their contractual obligations or when events, conduct of the parties, or operation of law releases the parties from performance. Performance: i(cid:374) (cid:272)o(cid:374)tra(cid:272)t la(cid:449), the fulfill(cid:373)e(cid:374)t of o(cid:374)e"s duties arisi(cid:374)g u(cid:374)der a (cid:272)o(cid:374)tra(cid:272)t (cid:449)ith a(cid:374)other; the (cid:374)or(cid:373)al (cid:449)a(cid:455) of dis(cid:272)hargi(cid:374)g o(cid:374)e"s (cid:272)o(cid:374)tra(cid:272)tual o(cid:271)ligatio(cid:374)s. In most contracts, promises of performance are not expressly conditioned or qualified, instead they are absolute promises (must be performed or in breach of contract) Conditions precedent: conditions precedent: in a contractual agreement, a condition that must be met (cid:271)efore a part(cid:455)"s pro(cid:373)ise (cid:271)e(cid:272)o(cid:373)es a(cid:271)solute. I. e. fisher pro(cid:373)ises to (cid:271)u(cid:455) cal(cid:448)i(cid:374)"s house if al(cid:448)atio(cid:374) ba(cid:374)k appro(cid:448)es fisher"s mortgage application. The fisher-calvin contract is therefore subject to a (cid:272)o(cid:374)ditio(cid:374) pre(cid:272)ede(cid:374)t (cid:894)the (cid:271)a(cid:374)ks appro(cid:448)al of fisher"s (cid:373)ortgage appli(cid:272)atio(cid:374)(cid:895). If bank grants mortgage, contract goes through, if it rejects it, contract will fail.
